How do I resolve a margin call

If a margin call is triggered on your account, you have the following options:

  • Deposit money into your margin loan to reduce your loan balance.
  • Transfer additional approved shares or managed funds to increase your portfolio value.
  • Sell a sufficient part of your portfolio to reduce your gearing (use the What if Calculator or contact us to confirm the required amount)
  • Request funds in your Commonwealth Direct Investment Account (CDIA) to be reserved and lodged as collateral.

If your loan has triggered a margin call, it’s your responsibility to ensure the margin call is satisfied in full by 2pm (Sydney time) on the next business day. This will require you to bring your account out of buffer.

If you don’t resolve the margin call before 2pm (Sydney time) the next business day

We may sell shares from your portfolio to cover your obligation. If we are forced to sell shares that you own, you’ll be charged a higher rate of brokerage (equivalent to our phone brokerage rates) than when you trade directly online. Forced sells may also lead to unwanted tax implications. To prevent this, we encourage you to resolve the margin call yourself within the required timeframe.

 

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